The private sector is playing a key part in shaping the global economy. Indeed, industry is a primary driver for any state to strengthen its economic position.
Egypt is pursuing to take solid steps to support local businesses and enhance industrial growth through financial initiatives and energyprice reforms, aiming at boosting competitiveness and attracting more private investment.
Recently, the government announced extending the initiative of supporting productive industrial, agricultural, and renewable energy activities during the current fiscal year (2025/26), which started on July 1. The move comes as part of the national strategy to stimulate private investment and promote sustainable economic growth.
The initiative, jointly announced by Kamel El Wazir, Deputy Prime Minister for Industrial Development and Minister of Industry and Transport, and Ahmed Kouchouk, Minister of Finance, allocates LE90 billion in financing facilities for key sectors.
The interest rate of this funding does not exceed 15 percent. Of this amount, LE80 billion goes for working capital financing, while LE10 billion will be dedicated to the purchase of machinery and equipment.
The government will also bear the LE8-billion difference in interest rate to give a hand to investors, factories, and farmers to overcome their financial problems.
The two ministers pointed out that the government is still committed to intensifying partnerships with the private sector. It aims to encourage businesses in local and globalexpansion andto generate jobs.
In a related context, Minister el-Wazir also referred to the government’s ongoing review of gas and electricity prices for industrial use, especially for energy-intensive industries like iron and steel.
He added that there are continuous talks with local manufacturers to ensure a balanced approach, having production costs go in tandem with global market prices.
Guaranteeing competitiveness in local industries, energy pricing is continuously assessed to maintain a fair production cost that alleviates Egyptian products from the pressures of imported goods.
According to official statements, the government would provide temporary energy discounts for priority industries that can attract investment and create integrated production chains, including strategic sectors such as iron and steel, which play a vital role in national development. In addition, the governmentis seeking to localize strategic industries such as automotive manufacturing and its related components.
Now, Egypt spares no effort to empower the private sector, driving sustainable development which ultimatelyleads to a resilient economy.
